Ukraine’s agreement with the EIB on social housing is expected to be signed by the end of the year.

The European Investment Bank (EIB) is already evaluating a pilot social housing project in Ukraine. The signing of the initial financing agreement for the project could happen as early as this year, stated Kristina Mikulova, head of the EIB regional office in Eastern Europe.

She explained that a decision from the Cabinet of Ministers is also anticipated, which will establish the necessary regulatory framework. According to Mikulova, the pilot project will enable testing of the approach and methodology for building Ukraine’s social housing system prior to expanding the project.

Based on the government’s plan, 50,000 social housing apartments are set to be constructed in Ukraine this year. At the pilot stage, over 6,000 apartments that will house 16,000-18,000 residents in 15 communities in central and western Ukraine will be developed. The project will receive a portion of its financing from international partners. The EIB intends to allocate €400M, half of which will be grants and half loans.

Currently, there is no social housing fund in local communities, despite approximately 600,000 Ukrainians being registered on waiting lists for housing.